McKinsey: There Will Be 100 Billion U.S. Dollars Cooperation Opportunities In The Future Between China And Africa

Jan 02, 2018

Recently, a message on how Chinese companies "tailor-made" smartphones to African markets was "on fire" at major social platforms. With built-in camera software better suited for capturing dark skin tones and lower smartphone costs, China Mobile's voice-over-mobile company, a global leader in technology, still firmly occupies 25% of the smartphone market in East Africa 40% market share.Metal Stainless Steel Brush Part Manufacturer

In fact, not just a music-holding company, the latest report released by McKinsey's Africa office on June 30 shows that the extent of China's involvement in African economic activities far exceeds the previous findings.

A McKinsey research team selected eight major African economies (eight-nation GDP accounts for two-thirds of total sub-Saharan Africa's GDP) and found that more than 10,000 Chinese companies have invested in Africa, equivalent to the previous Four times forecast. About 90% of the 10,000 enterprises are privately-owned and diversified businesses, and a third of them are manufacturing enterprises. These Chinese enterprises have brought capital investment, management knowledge and entrepreneurship to the African continent and accelerated the pace of development of various African economies.

This reporter has learned that China is the top four partners in Africa in terms of trade, investment, infrastructure construction, financing and development aid. No other country has ever achieved such an extensive level of economic ties with Africa . Over the past decade, China-Africa economic cooperation has enjoyed tremendous growth. The total volume of bilateral trade has risen sharply at a rate of about 20% a year and foreign direct investment (FDI) has grown by as much as 40%. If unofficial channel cash flow is taken into account, the flow of funds from China to Africa will be about 15% higher than official data. China is also a major source of development assistance funds for African countries and its capital injection continues to grow. Hardware Zinc Alloy Brush Product ManufacturerIn addition, China is also Africa's largest infrastructure financier. In recent years, almost all of Africa's most important infrastructure projects have been covered by Chinese investors.